The Defense Department raised its threshold for 8(a) sole source contracts to $100 million as required by the 2020 Defense authorization bill. While not related to coronavirus outbreak, the timing is important.
At least four agencies have implemented emergency acquisition authorities to make it easier to award contracts to support coronavirus relief efforts.
The General Services Administration, the Department of Veterans Affairs and the IRS raised the micro-purchase threshold (MPT) and the simplified acquisition threshold (SAT) in the last week.
The Defense Department on March 17 raised the threshold for sole source 8(a) contracts to $100 million as required under the 2020 Defense authorization bill.
This is a huge increase, given typically the threshold for 8(a) contracts at DoD has been $22 million. Congress increased the threshold for the first time since 2015.
For the rest of the government, the 8(a) sole source threshold is $7 million for manufacturing requirements or $4 million for all other requirements.
Keep reading this article at: https://federalnewsnetwork.com/acquisition-policy/2020/03/agencies-initiate-emergency-acquisition-authorities/
The Contracting Education Academy at Georgia Tech has established a webpage where all contract-related developments related to the coronavirus (COVID-19) are summarized. Find the page at: https://contractingacademy.gatech.edu/coronavirus-information-for-contracting-officers-and-contractors/
